Replies to post #31263 on SPOOZ Inc (SPZI)

[CapnDon]

From the 9/25 pr: (edited to clarify trading capital)
"It is anticipated that 141 Capital, Inc. will be listed on the Pink Sheets and will seek listing on the Deutsche Borse exchange in Germany this year.

Shares will be sold in the company (141 Capital), SPOOZ, Inc. already owns 120 million of them.

"The business of 141 Capital will be to manage accounts under registrations with the Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA) as a Commodity Trading Advisor (CTA) and Commodity Pool Operator (CPO)."


The trading capital will come from the managed accounts. They will derive profits (hopefully huge) from trading this capital with SWARM.

SPOOZ, Inc. will get 7% of the net profit. SPOOZ, Inc. will get further value from the increased pps of the 120m shares in 141 Capital. Both should help raise the pps of SPZI.

[ITGuy]

Snow, you are correct in your assumptions.

I assume that they already have had their private placement of initial capital - hence how could they have started trading already. The initial capital is a small amount - maybe a million or so. This is only so SWARM can prove it's track record before going to the Expo to seek large public money - money that will go into a fund vs being privately placed as ownership in the company.

I agree that if SPZI has a 40% stake in 141 and then that gets diluted in order to raise more starting capital - that would be a bad thing. But I certainly see nothing that would lead me to believe that. I think that would hurt Paul's stake in the company even more than ours.

As far as the profits from the fund, don't all funds have some sort of management fee? I thought I read on the board at some point the a typical management fee for a hedge fund might be 20-30%. So if that is the case, 7% stated in the PR would go back to SPZI while the rest would pay 141 for the management.

AIMO